Question
Olivia is a shareholder in WXY Inc., a small business using the cash basis of accounting for tax purposes. In 2023, WXY Inc. distributed $60,000
Olivia is a shareholder in WXY Inc., a small business using the cash basis of accounting for tax purposes. In 2023, WXY Inc. distributed $60,000 in dividends to Olivia. Additionally, Olivia received a capital gain distribution of $20,000 from her investment in WXY Inc.
Item Amount Dividend Income $60,000 Capital Gain Distribution $20,000 How should Olivia report these transactions for tax purposes?
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Nicola M. Young, Irene M. Wiecek, Bruce J. McConomy
11th Canadian edition Volume 1
1119048532, 978-1119048534
